Chainlink has announced the launch of a dedicated LINK reserve, which has been positively received by the community. In its early days, the reserve attracted $1 million, allocating funds to enhance security and sustainability.
LINK Reserve Launch
Recently, Chainlink launched a LINK reserve that will be funded through the project's on-chain and off-chain revenue streams. In its early days, the reserve has already gathered $1 million worth of LINK tokens. The organization emphasized that there are no plans to sell the accumulated tokens, which may create a supply constraint in the market.
Whales Accumulate Tokens
As the reserve is launched, large-scale LINK holders, possessing between 100,000 and 1,000,000 LINK, have significantly increased their stakes. On-chain data indicates that their number grew by 4.2% to a total of 670 addresses in August, indicating the accumulation of 0.67% of LINK’s total supply, worth around $85 million. This points to renewed confidence in the project’s long-term outlook.
Exchange Balances Decline
Data from CryptoQuant shows that LINK reserves on centralized exchanges have declined from 180 million to 147 million tokens, a decrease of 33 million. Such reductions typically indicate fewer holders are willing to sell in the near term, reducing potential selling pressure in the market.
The establishment of a LINK reserve by Chainlink highlights a strategic approach to reducing token supply and enhancing scarcity in the market. This development comes amid increasing interest from large investors, which may positively impact the project's future.
